How to reduce CAC? See 5 tips
Posted: Sat Apr 05, 2025 10:17 am
Have you ever heard of Customer Acquisition Cost (CAC)? This is one of the main metrics for measuring how much you are spending to win over your customers. Want to learn more about it? Stay tuned!
What is CAC?
Customer Acquisition Cost (CAC) is a very important sales and marketing indicator for all companies. After all, do you know how much it costs to acquire a new customer for your organization?
The lower this number, the better for business profitability. Therefore, investing in reducing CAC is always important to improve your company's financial health.
How to calculate CAC?
Calculating CAC is very simple. Just apply the following formula:
CAC = sum of investments / number of customers acquired in the period
So, you add up the investments and divide by the number of customers acquired in a given period. Interesting, isn’t it?
For example, let's suppose that in three months your whatsapp data company has invested R$5,000.00 in the areas of Marketing and Sales and acquired 10 new customers. Your CAC is R$500.00.
Investments considered
To calculate CAC, you need to consider all the investments you have made in marketing and sales. So, you need to put all of this down on paper.
Clients considered
How many customers did you acquire during the analysis period? Here, it is worth adding up all of them, regardless of how much they spent with your company.
Analysis period
For the formula to work, you need to consider a period. For example: one month, six months or one year.
What are the best marketing metrics?
Without a doubt, keeping an eye on key sales and marketing metrics is always important to boost your business. CAC is one of them. However, you should know that to have a more in-depth and strategic view of your business, you can rely on other important indicators.
Learn about the main sales and marketing indicators, in addition to CAC.
Conversion Rate
Conversion rate is widely used in marketing campaigns to measure the effectiveness of actions taken. It is a basic calculation where you divide your number of visitors by the number of leads generated, for example. This is how you arrive at your conversion percentage.
ROI
ROI (Return On Investment) is our Return On Investment rate. In other words, it measures how much the company needed to invest, in different channels, to obtain a certain amount of return. To calculate it, you can use the following formula:
ROI = Revenue – Cost
Cost
Lifetime value (LTV)
Lifetime value (LTV) is important to know how much profit your company made during the period in which a customer was in a relationship with it.
What is CAC?
Customer Acquisition Cost (CAC) is a very important sales and marketing indicator for all companies. After all, do you know how much it costs to acquire a new customer for your organization?
The lower this number, the better for business profitability. Therefore, investing in reducing CAC is always important to improve your company's financial health.
How to calculate CAC?
Calculating CAC is very simple. Just apply the following formula:
CAC = sum of investments / number of customers acquired in the period
So, you add up the investments and divide by the number of customers acquired in a given period. Interesting, isn’t it?
For example, let's suppose that in three months your whatsapp data company has invested R$5,000.00 in the areas of Marketing and Sales and acquired 10 new customers. Your CAC is R$500.00.
Investments considered
To calculate CAC, you need to consider all the investments you have made in marketing and sales. So, you need to put all of this down on paper.
Clients considered
How many customers did you acquire during the analysis period? Here, it is worth adding up all of them, regardless of how much they spent with your company.
Analysis period
For the formula to work, you need to consider a period. For example: one month, six months or one year.
What are the best marketing metrics?
Without a doubt, keeping an eye on key sales and marketing metrics is always important to boost your business. CAC is one of them. However, you should know that to have a more in-depth and strategic view of your business, you can rely on other important indicators.
Learn about the main sales and marketing indicators, in addition to CAC.
Conversion Rate
Conversion rate is widely used in marketing campaigns to measure the effectiveness of actions taken. It is a basic calculation where you divide your number of visitors by the number of leads generated, for example. This is how you arrive at your conversion percentage.
ROI
ROI (Return On Investment) is our Return On Investment rate. In other words, it measures how much the company needed to invest, in different channels, to obtain a certain amount of return. To calculate it, you can use the following formula:
ROI = Revenue – Cost
Cost
Lifetime value (LTV)
Lifetime value (LTV) is important to know how much profit your company made during the period in which a customer was in a relationship with it.